Managed Funds Vanguard

Discussion in 'Shares & Funds' started by Redwing, 23rd Feb, 2017.

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  1. Redwing

    Redwing Well-Known Member

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    Whilst being famous for their Passive Index hugging funds, they also offer low cost Active Funds which attracted over $50 Billion in 2016

    Not that I'm interested in their family of active funds, they are certainly attracting a lions share

    upload_2017-2-23_5-50-54.png
    link
    No Blackrock was interesting..

    Vanguard's approach to active and passive management

    Many investors consider both active and passive fund management when building their portfolios. In this video recorded 22 June 2016, Vanguard experts discuss Vanguard's fund management philosophy and methodology for both strategies.

    Vanguard to offer local investors a global option

    The three new funds to be opened to Australian retail investors will be Vanguard’s Global Quantitative Equity Fund, its Global Value Equity Fund and its Global Minimum Volatility Fund.
     
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  2. orangestreet

    orangestreet Well-Known Member

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  3. Redwing

    Redwing Well-Known Member

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    BlackRock, Vanguard, State Street are not passive on corporate governance

    Investment behemoths BlackRock, Vanguard and State Street now hold the "balance of power" in corporate governance disputes.

    And they're no longer content to be the silent giants in the background, forcing company boards to balance the long-term view of passive fund managers with the short-termism of active managers.

    The underperformance of the majority of Australian active managers over the past few years, coupled with the low cost of passive funds, has driven investors into products such as exchange-traded funds en masse, with total funds under management topping $23 billion this year.
     
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  4. Redwing

    Redwing Well-Known Member

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  5. orangestreet

    orangestreet Well-Known Member

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    The article I referenced says Vanguard are in the process of hiring 1700 employees in 2017 to address some of the customer service issues.
     
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  6. Redwing

    Redwing Well-Known Member

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    John Bogle, Founder of The Vanguard Group | A Motley Fool Special Interview
     
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  7. wombat777

    wombat777 Well-Known Member Premium Member

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  8. Redwing

    Redwing Well-Known Member

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    @wombat777

    There's this Aii S&P/ASX 200 Industrials ETF, but you are likely better with WHF

    <edit> Is this the one you referenced earlier?

    Minimum initial investment $200,000
    Indirect Cost Ratio (ICR) 0.43% (as at 30 Jun 2012)
    Fund Inception 8 Apr 2010
    Fund Size $0.74 million (as at 4 Jun 2013)
    Fund Objective The investment seeks to track the price and yield performance, before fees and expenses, of the S&P/ASX 200 Industrials index.
    Fund Strategy The index is a subset of the S&P/ASX 200 index and generally comprises companies involved in construction and engineering, infrastructure, transport and commercial services.
     
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  9. Hodor

    Hodor Well-Known Member

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    Even if they did I would think it unlikely to be the"thornhill industrials" (which I'm presuming you are after) . Most (all?) industrial index's aren't so broad.
     
  10. wombat777

    wombat777 Well-Known Member Premium Member

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    Yes. Looking for a Thornhills Industrials ETF. Looking to see how it compares to LICs.
     
  11. Nodrog

    Nodrog Well-Known Member

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    All of Thornhill's Industrial Index charts include Areits. Not perfect but as the Thornhill chart's show the outcome is still extraordinary.

    The best an Industrials Index ETF can do is match the index MINUS fees. WHF does better. The red line on the chart below is the "broad" Industrials index. And importantly be aware that you can often buy WHF at around an 8 - 10% discount to NTA. That being the case the performance "to the investor" will be much better than what is shown below. That is, the chart below assumes you had paid full NTA price:
    IMG_0060.PNG
     
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  12. Nodrog

    Nodrog Well-Known Member

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    Again WRONG Index. The "broad" Industrials index includes everything except Resources.
     
  13. Hodor

    Hodor Well-Known Member

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    Think it should be called the "PT index" to avoid all the confusion with different industrials indexes
     
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  14. Redwing

    Redwing Well-Known Member

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    The ETF was closed, but on one site it had IDD as just "Industrials" then on another site for IDD it showed" Industrials and Resources"

    Delisted..
    The Investment Manager announces that Valuestream" board of directors has resolved to terminate the Scheme effective 10 AM AEST on Wednesday 12 June 2013 (Termination Date). The decision to terminate the Scheme and related Aii ETFs has been driven by the low level of funds under management. The Investment Manager has been funding the operation of the Scheme from its own resources. After considering all practical alternatives Valuestream and the Investment Manager formed the view that in order to continue operating the Aii ETFs, the management costs charged to Aii ETF unitholders (Investors) would have to be significantly increased. Having considered the alternatives, Valuestream has resolved that termination of the Scheme is in the best interests of Investors as a whole
     
  15. Nodrog

    Nodrog Well-Known Member

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    Check the Fund Strategy from here:
    Aii S&P/ASX 200 Industrials ETF - Managed fund profile - Managed funds - InvestSMART
    Note there's no banks, financials, consumer staples / discretionary, telecommunications, healthcare, Areits and IT etc. Hence the Index ETF you're referring to is only a small subset of the traditional "broad" Industrials Index.

    Very simple. The Industrials index Thornhill refers to is everything except Resources.
     
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  16. Nodrog

    Nodrog Well-Known Member

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    • Warren Buffett rips into hedge funds for 'huge' fees
    http://www.berkshirehathaway.com/letters/2016ltr.pdf
     
  17. wombat777

    wombat777 Well-Known Member Premium Member

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  18. Nodrog

    Nodrog Well-Known Member

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    Won't work.

    That still leaves out: consumer discretionary / staples, healthcare, energy, IT, telecommunications (eg TLS)... .

    And the cost of these ETFs is more than LIC equivalents.

    Didn't Thornhill say Investing wasn't meant to be hard:).
     
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  19. Nodrog

    Nodrog Well-Known Member

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    New active funds align with trustee control
     
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  20. The Falcon

    The Falcon Well-Known Member

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    Curious to see if they will bring out the Wellington Fund. The marketing they could do on that fund would guarantee some solid support! The oldest mutual fund, stablished on the eve of the Great Depression in 1929, Wellington has returned 8.3% pa since inception. Actively managed stocks (65%) and bonds (35%).
     
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